2012 Chemical Data Reporting Byproduct and Recycling Scenarios


2012 Chemical Data Reporting
Byproduct and Recycling Scenarios

Presented on January 19, 2012

This document was reviewed in context of the 2016 reporting
requirements and is fully applicable; no changes were made.

U.S. Environmental Protection Agency
Office of Pollution Prevention and Toxics

January 20, 2012

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Introduction

This document addresses a series of 18 industry scenarios and questions related to EPA's
Chemical Data Reporting (CDR) rule. The scenarios were provided to EPA by Bergeson and
Campbell (B&C) for industry, in a document titled "Chemical Data Reporting (CDR): Case
Studies for Byproduct/Recycling Reporting."

The primary goal of this document is to help the regulated community comply with the
requirements of the CDR rule. This document does not substitute for that rule, nor is it a rule
itself. It does not impose legally binding requirements on the regulated community or on the U.S.
Environmental Protection Agency (EPA).

To assist the reader, Appendix A contains selected definitions and other information that are
relevant to the general understanding for CDR regarding the need to report a byproduct, how to
properly characterize a byproduct (mixture or UVCB substance?), and how to determine if a
byproduct or other chemical is being recycled, remanufactured, reprocessed, or reused.

Each scenario contains a description of the scenario, including a list of questions; a discussion of
that scenario, including any clarifying assumptions or additional information that EPA needed to
analyze the reporting requirements; and a summary of the reporting requirements for the
companies and chemicals identified in the scenario. In some cases, EPA changed names and
terminology in order to avoid confusion and allow for an appropriately detailed response. In
addition, the reporting element "Is Chemical Substance Being Recycled, Remanufactured,
Reprocessed, or Reused?" is referred to by its shortened form used by the e-IURweb reporting
tool ("Is chemical recycled?"). The original scenarios as provided by B&C are in Appendix B.

In addition to the assumptions identified in the individual scenario discussions, EPA made
certain general assumptions in analyzing and determining the reporting obligations for the
provided scenarios. These general assumptions included:

A substance is obtained from domestic sources, unless otherwise stated.

All substances are listed on the TSCA Inventory, unless otherwise stated.

• Production volumes are sufficient to trigger full reporting (manufacturing, processing,
and use) (Form U, Parts I-III).

• Remaining portions of a byproduct are disposed of as a waste, unless otherwise stated.

This document also assumes that the reader has familiarity with CDR and the TSCA Inventory.
Other guidance documents, training, and user guides are located on the Resources page of the
CDR website, at www.epa.gov/cdr.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Table of Contents

Introduction	i

Scenario 1 - Spent Etchant 	1

Scenario 1A - Sulfuric Acid Spent Etchant	3

Scenario 2 - Byproduct Mixture	4

Scenario 3 - Sulfuric Acid	6

Scenario 4 - Wastewater	8

Scenario 5 - Reaction Byproduct 1	10

Scenario 6 - Reaction Byproduct 2 	11

Scenario 7 - Reaction Byproduct 3 	13

Scenario 8 - Reused Solvent Mixture	14

Scenario 9 - Potassium Iodide	15

Scenario 10 - Spent Solvent 1 	16

Scenario 11 - Spent Solvent 2	17

Scenario 12 - Off-spec Refrigerant Gases	18

Scenario 13 - Off-spec Material 	19

Scenario 14 - Carbon Canisters	20

Scenario 15 - Palladium Catalyst 	21

Scenario 16 - Electronics 1	23

Scenario 17 - Electronics 2	24

Scenario 18 - Imported Electronics	25

Appendix A: Byproduct and Recycling Related Information	26

Appendix B: Original Case Studies Submitted to EPA	30

li

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 1- Spent Etchant

Description:

In its operations, ABC Company uses an etchant to strip copper off of a substrate. The process
results in a mixture containing a complex combination of substances. The mixture is sent to
XYZ Recycler to extract the elemental copper by electrolytic reduction. The remaining
components of the mixture are disposed of by XYZ Recycler.

Discussion:

It is given in the scenario's starting assumptions that the spent etchant solution is a complex
combination of substances and is not readily identifiable as a mixture of discrete substances.
EPA further assumes the etching process used by ABC Company involves one or more chemical
reactions between the etchant and elemental copper to form oxidized copper salts and/or
complexes of Copper (II) ion with the etchant.

ABC Company's spent etchant solution is a byproduct of the use of the etchant in its operation
(See the 40 CFR 704.3 byproduct definition), and therefore is considered to be manufactured for
a commercial purpose and subject to CDR requirements. Although it is a chemical substance
manufactured for commercial purpose, a byproduct qualifies for a reporting exemption if it does
not have any commercial purpose of its own after it is manufactured (See 40 CFR 720.30(h)(2)),
or if its separate commercial purpose is among those exempted under 40 CFR 720.30(g). ABC
Company needs to determine if the byproduct will be used for a non-exempt commercial
purpose.

In this scenario, XYZ Recycler is using the spent etchant solution to manufacture elemental
copper for a commercial purpose. The spent etchant contains Copper(II) ions which are
electrolytically reduced to produce elemental copper; elemental copper is not a component of the
spent etchant solution. Because XYZ Recycler is not extracting a component chemical substance
from the byproduct, the manufacture of the byproduct by ABC Company does not meet the
requirements of the byproduct exemption at 40 CFR 720.30(g)(3). None of the other byproduct
exemptions apply, based on the facts given.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

CDR Reporting Obligations:

ABC Company

•	Report the spent etchant solution. The specific chemical identity of this byproduct should be
determined by ABC Company.

•	Answer "yes" to the question "Is chemical being recycled?" if the spent etchant would
otherwise be disposed of as a waste by ABC Company.

•	Report the following downstream processing and use scenario:

o PC (processing as a reactant) - the spent etchant is being used as a reactant in a reduction
reaction

o IS 19 (All other basic inorganic chemical manufacturing) - for the manufacture of
elemental copper; and

o U015 (intermediate) -the spent etchant is an intermediate that is converted to copper.
XYZ Recvcler

•	Report elemental copper (Copper, CASRN 7440-50-8).

•	Answer "no" to the question "Is chemical being recycled?" Elemental copper is an intended
commercial product, not a substance that XYZ Recycler would potentially dispose of as a
waste. While the byproduct was recycled, the elemental copper is not.

2

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 1A - Sulfuric Acid Spent Etchant:

Description:

This scenario is basically the same as Scenario 1, except that the specific etchant is identified.
ABC Company uses sulfuric acid etchant to strip copper off a substrate. The process results in a
mixture containing essentially cupric sulfate in solution, which is sent to XYZ Recycler to obtain
the elemental copper by electrolytic reduction. After obtaining the elemental copper, XYZ
Recycler disposes of the rest of the mixture.

Discussion:

In this scenario, as opposed to the original scenario, the spent etchant solution is a readily
identifiable mixture of discrete chemical substances. The etching process used by ABC
Company involves a chemical reaction between the etchant and elemental copper to form cupric
sulfate in solution as a byproduct of the etchant process. The resulting byproduct mixture was
manufactured for a commercial purpose, and the cupric sulfate was subsequently used for a
commercial purpose (to produce copper).

CDR Reporting Obligations:

ABC Company

• Report the currently correct Chemical Abstracts name and corresponding CASRN (Sulfuric
acid copper(2+) salt (1:1), CASRN 7758-98-7) for cupric sulfate.

• Answer "yes" to the question "Is chemical being recycled?" if the cupric sulfate would
otherwise be disposed of as a waste by ABC Company.

• Report the following downstream processing and use scenario:

o PC (processing as a reactant) - the cupric sulfate is being used as a reactant in a reduction
reaction;

o IS 19 (All other basic inorganic chemical manufacturing) - for the manufacture of

elemental copper, inorganic manufacturing; and
o U015 (intermediate) - the cupric sulfate is an intermediate that is converted to Copper.

XYZ Recycler - Same as in Scenario 1

• Report elemental copper (Copper, CASRN 7440-50-8).

• Answer "no" to the question "Is chemical being recycled?" Elemental copper is an intended
commercial product, not a substance that XYZ Recycler would potentially dispose of as a
waste. While the byproduct was recycled, the elemental copper is not.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 2 - Byproduct Mixture

Description:

In its process to produce Chemical A, GEF Company produces a byproduct, Mixture B. Mixture
B is comprised of Chemical A (formed via a chemical reaction) and Chemicals X, Y, and Z (all
of which were present in the original purchased starting materials). Based on its technical
expertise, GEF Company is aware of the individual components that make up the byproduct.
Due to processing variability, however, GEF Company does not know the specific percentage of
each component in Mixture B.

Mixture B is sent off-site to Company 123 for further processing. Company 123 extracts
Chemical X from Mixture B via a chemical reaction. After Chemical X is extracted, the
remaining mixture is disposed of by MNO Company, and Chemical X is used for a commercial
purpose.

Discussion:

The scenario does not specify the chemical reaction used to extract Chemical X from Mixture B.
The identification of whether Chemical X is being reacted or whether other substances, and not
Chemical X, are being reacted is important for determining reporting obligations. EPA's
response assumes that Chemical X is reacted to form a salt of X, that the salt is extracted from
the mixture, and that another reaction is used to turn the salt into Chemical X. Chemical X and
Salt of X are different chemical substances. Both Salt of X and Chemical X are used for
commercial purposes, and therefore Company 123 has manufactured both for a commercial
purpose.

GEF Company has sufficient knowledge to characterize its byproduct as a mixture ("Mixture B")
rather than as a UVCB substance. GEF Company does not know the precise proportions of X,
Y, and Z in the mixture, but GEF Company did not manufacture any of these substances and so
the unknown volume of X, Y, and Z in the mixture would not trigger any reporting under CDR.
GEF Company does not know the proportion of Chemical A in the mixture. Because the
Chemical A in this mixture will be disposed of as a waste and not used for any other separate
commercial purpose, for CDR purposes it is not necessary to know the amount in the mixture.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

CDR Reporting Obligations:

GEF Company
Chemical A:

• Report manufacturing information for Chemical A.

• Report downstream processing and use activities for Chemical A.

Chemicals X. Y. and Z:

• No manufacturing, and therefore no reporting.

Mixture B:

• GEF Company is not required to report Mixture B. The CDR does not require the
reporting of mixtures.

Company 123
Salt of X:

• Report manufacturing information

• Report processing information (used to manufacture Chemical X)

Chemical X:

• Report manufacturing information for Chemical X

• Report processing and use information

Note that, depending upon the process, Salt of X may be a non-isolated intermediate. If the salt
of X is a non-isolated intermediate, Company 123 would not need to report Salt of X and would
only report Chemical X (See 40 CFR 711.10(c) which references 40 CFR 720.30(h)(8)).

Also note that the original scenario stated that "GEF Company has not notified the mixture to
EPA as a "new chemical" because it is not used for commercial purposes and there is no
regulatory obligation to notify mixtures if the individual components of the mixture are listed on
the Inventory." EPA disagrees with the characterization of regulatory obligations implied in this
sentence. Premanufacture notice obligations apply to chemical substances, not mixtures. (See
TSCA § 5(a)(1)(A)) Where individual components of a mixture are not listed on the Inventory
and a person intends to manufacture them for commercial purposes, the proper course of action
would be to submit a PMN for the unlisted components, not for the mixture as a whole. If
"mixture" is a misnomer that actually refers to a single Class 2 chemical substance of "unknown,
or variable composition, complex reaction products, and biological materials" (i.e., a UVCB
substance), then there could potentially be PMN obligations with respect to this UVCB
substance.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 3;- Sulfuric Acid

Description:

Site A domestically purchases and uses sulfuric acid in its operations, which generates a spent
sulfuric acid (SSA). SSA is a mixture of water, sulfuric acid, and unspecified chemical
substances. No unused sulfuric acid is contained in SSA, which is shipped to Site B.

At Site B, SSA is reacted in a closed system to convert the sulfuric acid to sulfur dioxide. The
sulfur dioxide is also reacted in a closed system to create sulfur trioxide. The sulfur trioxide is
then reacted in a closed system to form sulfuric acid.

Discussion:

Because the precise use of the sulfuric acid is not specified, EPA made some assumptions in
order to address the scenario. The scenario identifies that SSA is a mixture of water, sulfuric
acid, and some other unidentified chemical substances. EPA assumed that Site A may have
manufactured the water, but did not manufacture the sulfuric acid (i.e., Site A did not convert the
purchased sulfuric acid to another substance and back again to sulfuric acid). EPA also assumed
that the unidentified chemical substances comprising SSA are disposed of as a waste and never
used for another separate commercial purpose.

Site B uses the sulfuric acid in SSA to manufacture sulfur dioxide, sulfur trioxide, and finally
sulfuric acid. The other substances that are in SSA are disposed of as a waste, do not contribute
to the commercial use of SSA, and therefore, for CDR purposes, are exempt from reporting
under 40 CFR 720.30(g)(2).

The scenario states that sulfur dioxide and sulfur trioxide are generated in closed reaction vessels
(including closed lines for any transfers of sulfur dioxide and sulfur trioxide between reaction
vessels), which by itself does not affect the CDR reporting status of the chemicals.

1 The following statement was removed from the original scenario provided to EPA because, for TSCA purposes,
mixtures are not considered to be a single substance: "[S]SA has the same CAS Number as sulfuric acid."

2 Note that the original scenario in Appendix B identifies that the unidentified chemical substances in SSA are
impurities. EPA believes it is more likely that these are not impurities. See Appendix A for a discussion of
impurities.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

CDR Reporting Obligations:

Site A has no reporting obligations for the following reasons:

•	SSA is not reported under the CDR regulation because it is considered a mixture in this
scenario. If SSA were an UVCB substance, then reporting of the UCVB substance may
be required.3

•	The sulfuric acid in the SSA mixture is an unreacted substance that is purchased, not
manufactured, by Site A.

•	Water is not reportable because it is a byproduct with no commercial use, therefore
exempted by 40 CFR 720.30(h)(2). Note that if water were not a byproduct, it would still
not be reportable because it is a fully exempted chemical substance under CDR.

•	Other unspecified chemical substances are not reportable because they are byproducts
disposed of as a waste and not used for another separate commercial purpose.

Site B: Based on this scenario, Site B's reporting obligations are for the three chemical
substances it is manufacturing:

•	Sulfur dioxide

•	Sulfur trioxide

•	Sulfuric acid

Note that the scenario description contained insufficient information to determine that the sulfur
dioxide and sulfur trioxide were non-isolated intermediates. Non-isolated intermediates do not
need to be reported for CDR (40 CFR 711.10(c)). If the sulfur dioxide and sulfur trioxide were
non-isolated intermediates, then Site B's reporting obligations would be for only sulfuric acid.

The definition for non-isolated intermediates is:

Non-isolated intermediate means any intermediate that is not intentionally removed from
the equipment in which it is manufactured, including the reaction vessel in which it is
manufactured, equipment which is ancillary to the reaction vessel, and any equipment
through which the substance passes during a continuous flow process, but not including
tanks or other vessels in which the substance is stored after its manufacture. Mechanical
or gravity transfer through a closed system is not considered to be intentional removal,
but storage or transfer to shipping containers "isolates" the substance by removing it from
process equipment in which it is manufactured. (40 CFR 704.3)

3 See Appendix A for information regarding the difference between a mixture and a UVCB substance.

7

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 4 - Wastewater

Description:

MNO Company, a metal processing facility, has an agreement with Company 678 to remove its
wastewater/spent baths for treatment. It is technically feasible to recover Metal G from the
soluble metal compounds in the wastewater. If the market value of Metal G is high, Company
678 will engage in the recovery process. If the market value of Metal G is low, Company 678
will dispose of the wastewater without recovering Metal G.

Once the wastewater leaves the MNO Company facility, MNO Company is unaware as to
whether Metal G is extracted from the wastewater or not. In other words, MNO Company
cannot be certain as to the amount of its wastewater that Company 678 uses to manufacture
Metal G.

Discussion:

Based on this scenario, EPA assumes that MNO Company is combining all of the wastewater
and/or spent baths into one complex chemical combination, presumably in a holding tank until
there is sufficient volume to send it to Company 678. This type of complex combination is
typically of unknown, uncertain, or variable composition, and therefore is expected to be
characterized as a UVCB chemical substance. For purposes of this example, EPA assumed it is
so characterized.

Because the UVCB chemical substance, Byproduct W, was generated as part of the manufacture,
processing, use, or disposal of another chemical substance or mixture for a commercial purpose,
it meets the definition of byproduct and is considered to be manufactured for a commercial
purpose (40 CFR 704.3). As a chemical substance manufactured for a commercial purpose,
Byproduct W is subject to reporting under CDR unless it is otherwise exempted.

To determine the reporting obligations associated with Byproduct W, MNO Company will need
to determine if it meets any of the exemptions in 40 CFR 711.10(c), which references 40 CFR
720.30. Based on the scenario, Byproduct W is either disposed of as a waste or is used to
recover Metal G. The volume disposed of as a waste is exempted from reporting based on 40
CFR 720.30(g)(2).

Since the scenario states that the metals in the baths are present as "soluble metal compounds,"
EPA assumes that Company 678 will need to recover Metal G via chemical reactions carried out
on the metal compounds in Byproduct W. Therefore, Company 678 is not extracting a
component chemical substance from Byproduct W and the 40 CFR 720.30(g)(3) exemption does
not apply to MNO's manufacture of Byproduct W. The volume of Byproduct W associated with
the recovery of Metal G would be reportable for CDR.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

CDR Reporting Obligations:

MNO Company:

Under this scenario, reporting obligations depend on what exactly Company 678 did with
Byproduct W. MNO Company does not report the volume of Byproduct W that Company 678
disposes as waste. MNO Company does report the volume of Byproduct W that Company 678
uses for commercial purposes. MNO Company should report based on its reasonable estimate of
how its production volume was allocated between these two possible outcomes. If MNO
Company cannot arrive at a reasonable estimate, it should report the full volume of Byproduct
W.

MNO Company will need to determine the appropriate chemical identification for its UVCB
byproduct. They can use their own expertise, search the TSCA Inventory, or engage consultants
(which could involve using the CAS Inventory Expert Service) to assist them.4

MNO Company should answer "yes" to the question "Is chemical being recycled?" MNO
Company would otherwise dispose of Byproduct W as a waste, and as discussed above, is only
reporting the volume of Byproduct W that is used for a commercial purpose (i.e., it is being
further processed to recover Metal G). Note that downstream processing and use information
should also be reported for Byproduct W to reflect the processing of the spent bath to recover
Metal G.

Company 678:

If Company 678 does indeed recover Metal G from metal compounds in Byproduct W, the
volume of Metal G would be reportable.

Company 678 would answer "no" to the question "Is chemical being recycled?" Metal G is an
intended commercial product, not a substance that Company 678 would potentially dispose of as
a waste. While the byproduct was recycled, Metal G is not.

4 Examples of chemical substances currently on the TSCA Inventory that might be used in similar scenarios are:

• Wastewater, chromium-contg. (CASRN 70969-49-2)

Definition: By-product of the manufacture of menadione bisulfite.

• Wastes, ferrous metal pickling (CASRN 65996-75-0)

Definition: The solution of an appropriate pickling acid or combination of acids containing any of the elements,
oxides, or salts present in steel. Pickling acids include hydrochloric, hydrofluoric, nitric, phosphoric, and
sulfuric acids.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 5 - Reaction Byproduct

Description:

Company 123 reacts Chemical A and Chemical B to form Product AB and a mixture of a
byproduct and unreacted substance A. The byproduct substance, Chemical C, is coincidentally
formed via a chemical reaction during the manufacture of Product AB.

Company 123 ships the mixture to Company 456. Company 456 distills the mixture to separate
it into Chemical A and Chemical C. No chemical bonds are formed or broken in the distillation
process. Company 456 uses Chemical A and Chemical C for commercial processing operations.

Company 123 is aware that Company 456 separates Chemical A and Chemical C from the
mixture by distillation and that the substances are then used commercially.

Discussion:

The scenario specifies that the mixture is a combination of only Chemical A and Chemical C,
and therefore correctly characterizes it as a mixture of those two substances. Chemical A is an
unreacted starting material, which is not manufactured by Company 123. Chemical C is
coincidently formed via a chemical reaction during the manufacture of Product AB, and
therefore is a byproduct that was manufactured by Company 123 for commercial purposes.

Company 456 separates the mixture into Chemical A and Chemical C, and therefore is not
manufacturing either substance. In addition, Company 456 is using Chemical C for commercial
purposes, which means that the manufacture of byproduct Chemical C by Company 123 is not
eligible for any of the CDR byproduct reporting exemptions.

CDR Reporting Obligations

Company 123

• Product AB:

o Report manufacturing, processing, and use information,
o Answer "no" to the question "Is chemical being recycled?"

• Chemical C:

o Report manufacturing, processing, and use information.

o Assuming it would otherwise be disposed of as a waste, answer "yes" to the question "Is
chemical being recycled?"

• Chemical A and Chemical B: Do not report. Company 123 does not manufacture these
chemicals.

• The mixture: For purposes of CDR, not reportable because it is a mixture.

Company 456: No reporting, because it is not manufacturing any of the above chemical
substances. Chemical A and Chemical C were separated from a mixture.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 6 - Reaction Byproduct 2

Description:

As in Scenario 5, Company 123 reacts Chemical A and Chemical B to form Product AB and a
mixture. In this scenario, Company 123 is aware that, in addition to unreacted Chemical A and
Chemical C (a byproduct reaction product), the mixture contains a small amount of other
unknown chemical substances, including other reaction products.

As in Scenario 5, Company 123 ships the mixture to Company 456. Company 456 distills the
mixture to separate it into Chemical A and Chemical C, both of which are used for commercial
purposes. Company 456's distillation also results in a third component, M, which contains the
unknown substances in the original byproduct mixture. Company 456 disposes of M.

Discussion:

The difference between this scenario and Scenario 5 is inclusion of the unknown chemical
substances in the mixture.

Company 456 separates the mixture into Chemical A, Chemical C, and M. M contains the other
unidentified substances from the byproduct mixture produced by Company 123. Company 456
uses Chemicals A and C for a non-exempt commercial purpose and disposes of M as a waste.

The mixture can be characterized as such because the scenario identifies that the unknown
substances, which now comprise M, are disposed of as a waste with no other separate
commercial purpose. Irrespective of their identity or volumes, the substances that comprise M
are exempt from CDR pursuant to 40 CFR 720.30(g)(2).

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

CDR Reporting Obligations:

The reporting obligations are similar to those in Scenario 5.

Company 123

•	Product AB:

o Report manufacturing, processing, and use information,
o Answer "no" to the question "Is chemical being recycled?"

•	Chemical C:

o Report manufacturing, processing, and use information.

o Assuming it would otherwise be disposed of as a waste, answer "yes" to the question "Is
chemical being recycled?"

•	Chemical A and Chemical B: Do not report. These chemicals are not manufactured by
Company 123.

•	Unknown chemical substances from the mixture: Do not report the individual components,
because it is disposed of as a waste and exempt under 40 CFR 720.30(g)(2).

•	The mixture: Not reportable because it is a mixture. CDR does not require the reporting of
mixtures.

Company 456: No reporting, because it is not manufacturing any of the above chemical
substances.

•	Chemical A and Chemical C were separated from a mixture.

•	M: Do not report the individual components, because it is disposed of as a waste and
exempt under 40 CFR 720.30(g)(2), and because Company 456 did not manufacture
them.

12

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 7 - Reaction Byproduct 3

Description:

Using information in Scenario 5, except Company 123 is not aware that Company 456 separates
the byproduct mixture into component chemical substances that are used commercially.

Discussion:

The given characterization of what Company 123 does not know is ambiguous. For purposes of
developing a response, EPA assumes that the scenario is as follows: Company 123 lacks the
basis to reasonably discern whether or not Company 456 is putting either Chemical A or C to a
non-exempt commercial purpose.

Whether Company 456 has a non-exempt commercial purpose for Chemical A is irrelevant to
Company 123's reporting obligations for Chemical A. In any event, Company 123 is not
manufacturing Chemical A and so has no reporting obligations for it.

Company 123 is manufacturing Chemical C for commercial purposes, and it must report this
byproduct unless it has a factual basis upon which it can base a reasonable claim that it is exempt
from reporting. In Scenario 5, Company 123 knew it did not qualify for the exemption at 40
CFR 720.30(g) or (h)(2) (i.e., it knew there was a non-exempt commercial purpose for the
byproduct). In this scenario, Company 123 instead lacks an adequate factual basis to claim the
exemption (i.e., it lacks a factual basis to reasonably claim that the byproduct has no commercial
purpose or only exempt commercial purposes). Company 123 cannot claim the exemption in
either case.

CDR Reporting Obligations: Same as Scenario 5.

Company 123

• Product AB:

o Report manufacturing, processing, and use information,
o Answer "no" to the question "Is chemical being recycled?"

• Chemical C:

o Report manufacturing, processing, and use information.

o Assuming it would otherwise be disposed of as a waste, answer "yes" to the question "Is
chemical being recycled?"

• Chemical A and Chemical B: Do not report. Company 123 does not manufacture these
chemicals.

• Byproduct X: Not reportable. Byproduct X is a mixture and the CDR does not require the
reporting of mixtures.

Company 456: No reporting, because it is not manufacturing any of the above chemical
substances. Chemical A and Chemical C were separated from a mixture.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 8 - Reused Solvent Mixture

Description:

Company X manufactures Polymer Q in the presence of Solvent G, purchased from an outside
vendor, in a reactor. At the end of the polymerization, there exists in the reactor the following:
polymer and spent solvent mixture, Mixture TT, which consists of unreacted raw materials,
unspecified impurities, and Solvent G. Polymer Q is physically separated from Mixture TT by
filtration. Mixture TT is transferred to a storage tank. From the storage tank it is not further
processed or purified, but is transferred back to the reactor where it is used for its solvent
properties. Mixture TT continues to be recycled each time Polymer is manufactured.

Discussion:

Company X uses Solvent G in the manufacture of Polymer Q, resulting in Polymer Q and a spent
solvent Byproduct X consisting of unreacted raw materials, other unknown chemical substances
(no information was provide in the scenario to indicate whether they can properly be
characterized as "impurities"), and Solvent G. Although Company X manufactures Polymer Q
for a commercial purpose, the polymer is likely to be exempt from CDR requirements under 40
CFR 711.06(a)(1). For purposes of this scenario, EPA therefore assumes that the polymer is
exempt under that provision of the CDR and also assumes that Solvent G is domestically
purchased.

This discussion assumes that the spent solvent mixture is correctly characterized as a mixture,
and returned to the reactor to continue its use as a solvent and, presumably, to fully react the
other materials. The spent solvent mixture continues to be recycled each time Polymer Q is
manufactured.

Consistent with our general assumptions about the unspecified fate of chemical substances in
these scenarios, we assume that Company X only uses Mixture TT as a source of Solvent G, and
continues in this fashion until the unknown chemical substances (which might or might be
impurities) begin to interfere with the polymerization process. At that point, Company X
disposes of Mixture TT as a waste.

CDR Reporting Obligations for Company X:

None, for the following reasons:

• The manufactured Polymer Q is likely to be exempt under 40 CFR 711.6(a)(1). For
purposes of this example, EPA simply assumes that it is exempt.

• Solvent G and the other starting materials were not manufactured by Company X.

• Whatever the unknown chemical substances are, or whether they actually qualify as
"impurities," if they were manufactured they have no commercial purpose other than
disposal as a waste, which is a basis for a reporting exemption under CDR.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 9- Potassium Iodide

Description:

Company 123 reacts Chemical A and Chemical B to form Intermediate AB, which was later used
for a commercial purpose. A byproduct mixture, Mixture K, consisting of potassium iodide (KI)
and water is formed.

Mixture K is sold to Company 456. Company 456 oxidizes the KI to form iodine. The iodine is
used for commercial purposes. Company 123 is aware of Company 456's handling of the
byproduct mixture.

Discussion:

In this scenario, the byproduct is a mixture of only KI and water. Mixtures are not reportable for
CDR, but the individual components of the mixture may be reportable when manufactured as
part of making the mixture. EPA assumed both the KI and the water were manufactured
substances. EPA also assumed that the KI would not be disposed of as a waste.

The mixture of KI and water is sold to Company 456, which uses the KI to manufacture iodine
for commercial purposes. The KI is not extracted from a byproduct substance, but rather
functions as a chemical reactant, and therefore the byproduct exemption found at 40 CFR
720.30(g)(3) is not applicable to Company 123's manufacture of the KI byproduct.

CDR Reporting Obligations:

Company 123:

• Intermediate AB: Report

• Mixture K: The CDR does not require reporting of mixtures.

• Water: Fully exempted from CDR.

• KI:

o Report the volume of KI manufactured. Do not include the volume of the water,
o Answer "no" to the question "Is chemical being recycled?" Company 123 would
not otherwise have disposed of KI as a waste. Note that, if Company 123 would
have otherwise disposed of KI as a waste, the answer to this question would have
been "yes."

Company 456:

• Iodine: Report

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 10 - Spent Solvent 1

Description:

Company X reacts raw materials, including monomers and other agents, in the presence of a
purchased Solvent A to form Polymer P. A spent solvent mixture, Mixture SS, is formed.
Mixture SS consists of Solvent A, unreacted starting materials, and unspecified impurities.
Mixture SS is collected in a storage tank.

Mixture SS is transferred to a distillation column, where it is distilled to separate Solvent A from
the impurities and the unreacted starting materials. No bonds are formed or broken. The
distilled Solvent A is transferred back to the reactor where it is again used as solvent. For
purposes of the scenario, the impurities and unreacted starting materials are incinerated.

Discussion:

Company X manufactures Polymer P by reacting raw materials, including monomers and other
agents, in the presence of Solvent A. Company X manufactures Polymer P intentionally;
however, it is likely to be exempt from CDR reporting under 40 CFR 711.6(a)(1). For purposes
of this scenario, EPA assumed Polymer P is exempted from CDR. Solvent A itself does not
react during the manufacture of Polymer P.

The resulting byproduct, Mixture SS, is characterized as a mixture of Solvent A, unreacted
starting materials, and impurities. EPA does not assume that the "unspecified impurities" were
properly characterized as impurities for CDR purposes and instead considers them to be
unspecified chemical substances that may include unreacted starting materials and various
reaction products.

Company X separates Solvent A from Mixture SS, and disposes of the remaining materials as a
waste, by incineration. For CDR purposes, Mixture SS can be considered a mixture because it
consists of a known chemical substance, Solvent A, and the rest of Mixture SS is disposed of as a
waste and not used for any other separate commercial purposes.

CDR Reporting Obligations for Company X:

• Polymer P: No reporting obligations under the assumptions of this scenario.

• Solvent A: No reporting obligations because it is initially purchased and later separated
from a mixture and not manufactured.

• Unreacted starting materials: No reporting obligations because they are not
manufactured.

• Unspecified chemical substances: No reporting obligations for these byproduct chemical
substances. They are disposed of as a waste and therefore exempt under 40 CFR
720.30(g)(2).

• Mixture SS: CDR does not require reporting of the mixture itself.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 11 - Spent Solvent 2

Description:

Using information in Scenario 10, except that Mixture SS is shipped to Company Y and
Company Y distills out the Solvent A. Company Y then ships the Solvent A back to Company X
for commercial use. Any remaining portions of Mixture SS are disposed of as a waste.

Discussion:

The fact that a different company separates Solvent A from Mixture SS does not change the
reporting obligations.

CDR Reporting Obligations:

Company X: The reporting obligations are the same as for Scenario 10.

Company Y: No reporting obligations, because Solvent A is being separated from a mixture
and is not being manufactured by Company Y.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 12 - Off-spec Refrigerant Gases

Description:

Company 123 manufactures refrigerant Gases A, B, and C at the same plant site in three different
operations. As part of the manufacturing process, off-spec gases are generated. An off-spec gas
is the same substance as the intended refrigerant gas, but it fails to meet commercial
specifications (e.g., it is contaminated with the purchased compressor oil in the manufacturing
process and, as such, fails to meet required purity levels).

Off-spec gases Al, Bl, and CI from the three manufacturing operations are collected in a
consolidation tank. The resultant mixture, Mixture P, is sold to Company 456. Company 456
distills Mixture P to separate the three different gases into Recovered Gas A, Recovered Gas B,
and Recovered Gas C. No chemical bonds are broken or formed. The compressor oil is
incinerated. The three separated gases (Recovered Gases A, B, and C) are sold by Company 456
for commercial use. Company 123 knows how Company 456 is handling Mixture P.

Discussion:

As part of the manufacture of three gases, Company 123 produces a mixture of the off-spec
gases, which includes compressor oil. Company 456 separates the mixture back into the three
gases and the compressor oil.

CDR Reporting Obligations:

Company 123:

• Gases A, B, and C: Report, because they are manufactured.

• Gases Al, Bl, and CI: Volume of the gases reported as part of Gases A, B, and C;
volume of the compressor oil is not included in what is reported

• Gases Al, Bl, and CI: Answer "no" to the question "Is chemical being recycled?"
because Company 456 is finishing the gases and is not removing a chemical substance
from a waste stream.

• Mixture P: Not reportable because it is a mixture. Furthermore, the individual
manufactured components were already reported

• Recovered Gases A, B, and C: No additional reporting, because there has been no
additional manufacture (the impure gases were reported as part of the volume for A, B,
C). They were separated from a mixture by Company 456.

Company 456:

• Gases A, B, C and Al, B1, CI: No reporting - Company 456 did not manufacture these.

• Mixture P: No reporting - CDR does not require reporting of mixtures.

• Recovered Gases A, B, and C: No reporting - Company 456 is just separating a mixture
of chemical substances that it did not manufacture (the chemical substances were
manufactured by Company 123).

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 13 - Off-spec Material

Description:

In 2011, Company A produced 180,000 lb of Substance X that met product specifications and
was sold. Company A also produced 20,000 lb of Substance X that was off-spec for color due to
traces of a highly colored impurity, although its assay was approximately 99 percent Substance
X. Although Company A could have sold the off-spec material into a non-color sensitive
application, it chose to rework the off-spec Substance X by distillation to remove the impurity
and bring it up to specifications. The distilled Substance X met the color specification and was >
99 percent pure. The recovered volume was approximately 20,000 lb. Company A determined
that their CDR-reportable volume of Substance X in 2011 was 200,000 lb.

Discussion:

Company A correctly identified the need to report 200,000 lb of Substance X. Company A is
required to report the total volume of Substance X if Substance X has a commercial purpose,
even if there are differences in the level of purity.

In this scenario, Company A is considered to be completing the manufacture of Substance X by
reworking the off-spec material. EPA intends that the reporting element regarding recycling
would be used by manufacturers to indicate whether a chemical substance they manufactured,
such as a byproduct, which might otherwise be disposed of as waste, was or is expected to be
recycled. EPA also included the terms remanufactured, reprocessed, or reused to capture a broad
array of similar, and perhaps synonymous, activities by which a substance (that would otherwise
be disposed of as waste) may be put to use.

CDR Reporting Obligations for Company A:

• Chemical X: Report manufacture of 200,000 lb.

• Answer "no" to the question "Is chemical being recycled?" because the purification
activity of the off-spec Substance X is simply product finishing and does not involve
removing a chemical substance from a waste stream.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 14 - Carbon Canisters

Description:

In its chemical production unit, Company A uses carbon canisters to remove excess organic
alcohol during the manufacture of another chemical substance. Company A sends used carbon
canisters to Company Z, where Company Z removes the spent carbon to regenerate the carbon.
The absorbed hydrocarbons are removed from the carbon through a heating process and are
disposed of as waste. Company Z repacks the canister with fresh carbon, new and/or regenerated
and sends the canisters back to Company A for use. Through its relationship with Company Z,
Company A receives the regenerated canisters at a reduced fee.

Discussion:

Company A is using carbon canisters to remove excess organic alcohol (which EPA assumes is
an excess starting material), during the manufacture of another chemical substance. It is
assumed that the alcohol is being adsorbed to the carbon as a physical interaction as opposed to a
chemical interaction. The organic alcohol is not an "impurity" of the carbon, because the alcohol
and the carbon are being intentionally combined into a mixture.

CDR Reporting Obligations:

Neither company is required to report under the CDR rule for the following reasons:

Company A

• Neither domestically manufactures nor imports the canisters and is therefore not required
to report the carbon under CDR.

• The organic alcohol adsorbed onto carbon can be treated as a mixture of carbon and
organic alcohol. Under the assumptions of the scenario, Company A did not manufacture
the organic alcohol.

Company Z

• No reporting obligations. The separation of carbon from a mixture of carbon and organic
alcohol is processing rather than manufacturing and would not trigger CDR reporting
obligations.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 15 -Palladium Catalyst

Description:

Company X purchases and uses a palladium catalyst. The palladium catalyst is commercially
supplied on a carbon support, which allows the catalyst to be in a finely divided state with a large
surface area to increase its catalytic activity. Such a catalyst is described by the supplier as a
mixture of palladium (CASRN 7440-05-3) and carbon (CASRN 7440-44-0), consistent with
common industry practice. During use of the catalyst, the palladium becomes progressively
more deactivated by adsorption of contaminants onto the palladium surface. When its catalytic
performance is no longer acceptable, the catalyst is sent to Company Y, a precious metal
reclaimer, and Company X is credited for the value of the palladium. The process used by
Company Y for catalyst regeneration is not known to Company X.

Discussion:

Company X is using a palladium catalyst, which becomes deactivated by adsorption of
contaminants until its catalytic performance is not acceptable and it is sent to Company Y for
catalyst regeneration by an unknown process. For this scenario, it is assumed that the palladium
catalyst adsorbs contaminants through a physical interaction and not a chemical interaction. It is
also assumed that Company Y's catalyst regeneration process does not involve a chemical
reaction and that once the contaminants are removed, they are disposed of as waste.

CDR Reporting Obligations:

Neither company is required to report under the CDR rule for the following reasons:

Company X

• Neither domestically manufactures nor imports the palladium catalyst and is therefore not
required to report under CDR.

• The palladium catalyst becomes contaminated over the course of its use. The
contaminants are byproducts that are disposed of as a waste and are not subject to CDR
requirements.

Company Y

• When it purifies the palladium catalyst by removing contaminants, the chemical
substances removed are now a byproduct of Company Y's purification process.

Company Y is manufacturing this byproduct for commercial purposes.

• However, the byproduct is disposed of as a waste and is not used for any other separate
commercial purpose. The manufacture is exempt from CDR under 40 CFR 720.30(g)(2).

Note that if the substances contaminating the palladium catalyst had formed chemical bonds with
the catalyst, the spent catalyst would not be considered impure palladium, but rather a different
chemical substance, distinct from palladium. Consequently, the act of regenerating the spent

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

catalyst would require the breaking of chemical bonds between the impurities and the palladium,
which would be a manufacturing activity that is reportable under CDR. The spent catalyst would
be considered a single, reportable UVCB substance if it has an uncertain, variable, or unknown
chemical composition.

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Scenario 16 - Electronics 1

Description:

Company EG sends outdated computers, cell phones, and other office equipment (e.g., copiers,
fax machines) to CR Recycling Group. There is no exchange of funding between Company EG
and CR Recycling. CR Recycling Group may refurbish the equipment and resell to the general
public, or it may take the components of the equipment and reuse within its own processes. As
part of the procedure to reuse components, CR Recycling will extract metals used in solder
within the outdated equipment for reuse. Company EG is not aware how CR Recycling will
process the equipment it provides.

Discussion:

This discussion assumes that Company EG is collecting, from domestic sources, used office
equipment that has reached the end of its useful life, and is sending them to another company
(CR Recycling Group). The act of simply collecting the used office equipment from domestic
sources is not considered manufacturing.

CR Recycling Group takes used office equipment and either:

• Refurbishes the used office equipment for continued use as office equipment,

• Reclaims metal value from the used office equipment by chemical oxidation and
reduction, or another chemical reaction.

Refurbishing the used office equipment (e.g., mechanically repairing and replacing components
of the equipment) does not make CR Recycling group the manufacturer of the component
chemical substances in the office equipment. However, removing metals from the used office
equipment by means of a sequence of chemical oxidation and reduction steps makes CR
Recycling the manufacturer of the chemical substances produced by those chemical
transformations.

CDR Reporting Obligations:

Company EG has no reporting obligations under CDR for the used office equipment.
CR Recycling:

• If merely engaged in refurbishing the equipment - CR Recycling has no CDR reporting
obligation.

• Chemical reclamation of metals. CR Recycling is subject to CDR for the chemical
substances it manufactures in the chemical reactions involved in the reclamation process.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 17 - Electronics 2

Description:

This scenario is the same as Scenario 16, except that Company EG is aware that the contributed
office equipment will not be refurbished and will only be used to extract usable components,
including metals.

Discussion:

As in Scenario 16, because Company EG is not considered a manufacturer of the used office
equipment, its knowledge of the disposition of the equipment does not affect its obligations
under CDR.

CDR Reporting Obligations:

The reporting obligations are the same as for scenario 16.

Company EG has no reporting obligations under CDR for the used office equipment.
CR Recycling:

•	If merely engaged in refurbishing the equipment - CR Recycling has no CDR reporting
obligation

•	Chemical reclamation of metals. CR Recycling is subject to CDR for the chemical
substances it manufactures in the chemical reactions involved in the reclamation process

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Scenario 18 - Imported Electronics

Description:

Using information in Scenario 16, except Company EG conducts its collection activities outside
of the United States, imports the equipment into the United States, then sends its office
equipment to CR Recycling Group.

Discussion:

Importation is manufacture for TSCA purposes. However, the substances that are imported as
part of articles are exempt from CDR requirements. (See 40 CFR 711.10(b)). An article is
defined, in part, as "a manufactured item (1) which is formed to a specific shape or design during
manufacture, (2) which has end use function(s) dependent in whole or in part upon its shape or
design during end use..(See 40 CFR 704.3).

If the office equipment is imported for the end use of metals reclamation, then that is an end use
that is not dependent in whole or in part on the shape or design of the office equipment.

EG needs a factual basis to reasonably claim the imported articles exemption. To the extent that
EG lacks the basis to reasonably claim the imported articles exemption, it is a manufacturer of
the metals and other chemical constituents that are intended for separation from the office
equipment. The portion of the equipment that is refurbished maintains its status as an imported
article, so does not need to be reported under the CDR rule. The portion that is disposed of as
waste also does not need to be reported under the CDR rule.

CDR Reporting Obligations:

Company EG:

•	CR Recycling refurbishes EG's imports: The imports are articles. EG has no CDR
reporting obligations for the articles.

•	CR Recycling reclaims metal value from EG's imports: The imports are not articles. EG
reports the manufacture of the specific chemical substances (e.g., copper, lead, etc.) that
will be separated from the rest of the office equipment.

•	If imports are for dual purposes, CR should apportion the import volume between
volume imported for use in office equipment and volume imported for metal value.

CR Recycling:

•	Refurbishing of articles: CR Recycling has no CDR reporting obligation.

•	Chemical reclamation of metals. CR Recycling is subject to CDR for the chemical
substances it manufactures in the chemical reactions involved in the reclamation process.

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Appendix A: Byproduct and Recycling Related Information

What is a byproduct?

Byproduct means a chemical substance produced without a separate commercial intent during the
manufacture, processing, use, or disposal of another chemical substance or mixture. (40 CFR
704.3)

What is a byproduct manufactured for commercial purposes, and who is the
manufacturer?

Manufacturer means a person who manufactures a chemical substance. (40 CFR 711.3)

Manufacture means to manufacture, produce, or import, for commercial purposes. Manufacture
includes the extraction, for commercial purposes, of a component chemical substance from a

previously existing chemical substance or complex combination of chemical substances	(40

CFR 711.3)

Manufacture for commercial purposes means: (1) To import, produce, or manufacture with the
purpose of obtaining an immediate or eventual commercial advantage for the manufacturer, and
includes among other things, such "manufacture" of any amount of a chemical substance or
mixture:

(i)	For commercial distribution, including for test marketing.

(ii)	For use by the manufacturer, including use for product research and development, or
as an intermediate.

(2) Manufacture for commercial purposes also applies to substances that are produced
coincidentally during the manufacture, processing, use, or disposal of another substance or
mixture, including both byproducts that are separated from that other substance or mixture and
impurities that remain in that substance or mixture. Such byproducts and impurities may, or may
not, in themselves have commercial value. They are nonetheless produced for the purpose of
obtaining a commercial advantage since they are part of the manufacture of a chemical product
for a commercial purpose. (40 CFR 704.3)

When is a byproduct reportable?

A byproduct may be reportable when it is manufactured for a commercial purpose.

A byproduct not used for a separate commercial purpose is exempted by 40 CFR 720.30(h)(2).
Note that "commercial purpose" refers back to the broad definition in 40 CFR 704.3 ("the
purpose of obtaining an immediate or eventual commercial advantage"). It is not synonymous
with the narrower definition of "commercial use" at 40 CFR 711.3, which is only intended for
further subcategorizing reportable uses (in Part III reporting) between industrial, commercial,
and consumer settings.

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A byproduct that is used for a separate commercial purpose may be exempt if "its only
commercial purpose is for use by public or private organizations that (1) burn it as a fuel, (2)
dispose of it as a waste, including in a landfill or for enriching soil, or (3) extract component
chemical substances from it for commercial purposes." (40 CFR 720.30(g)) Note that this
exclusion only applies to the byproduct; it does not apply to the component substances extracted
from the byproduct. It is possible for these exempt commercial purposes to be achieved through
transactions involving exchange of ownership. The relevant consideration is the commercial
purpose of the byproduct after any preliminary exchange of ownership: the manufacturer needs a
factual basis to reasonably claim that subsequent commercial purposes are limited to exempt
commercial purposes.

How is a byproduct characterized for identification purposes?

Byproducts are formed by a reaction, and generally, EPA considers each combination of
substances resulting from a reaction to be either:

1.	A mixture, composed of two or more well-defined chemical substances to be named and
listed separately; or

2.	A reaction product, or combination of chemicals from a reaction, to be listed as a single
chemical substance, using one name that collectively describes the products or the
reactants used to make the products. This type of byproduct is typically complex.

What is a mixture?

The term "mixture" is defined by the Toxic Substances Control Act (TSCA) to mean:

.. .any combination of two or more chemical substances if the combination does not occur
in nature and is not, in whole or in part, the result of a chemical reaction; except that such
term does include any combination which occurs, in whole or in part, as a result of a
chemical reaction if none of the chemical substances comprising the combination is a
new chemical substance and if the combination could have been manufactured for
commercial purposes without a chemical reaction at the time the chemical substances
comprising the combination were combined. (TSCA Section 3)

Mixtures themselves are not listed on the TSCA Inventory, although the chemical substances that
comprise the mixture are.

What if your byproduct is complex?

Complex byproducts can be identified as chemical substances of Unknown or Variable
composition, Complex reaction products and Biological materials ("UVCB" substances). In this
manner, the byproduct can be identified as a single UVCB chemical substance that represents the
process stream. There are many thousands of UVCB substances listed on the TSCA Inventory.

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A special note for consideration as a mixture for purposes of CDR:

In certain circumstances it may be appropriate to treat a product combination as a mixture of
chemical substances (rather than as a single UVCB chemical substance) even though there are
uncharacterized components to the mixture. Specifically, where the submitter has a factual basis
to reasonably conclude that the uncharacterized components are exempt from CDR irrespective
of their chemical identity, a lack of information about the chemical identity of those exempt
components is not an obstacle to treating the remainder of the product combination as a mixture
for CDR purposes. Thus, for example, where a submitter reasonably concludes (after
considering all the facts known and reasonably ascertainable) that the uncharacterized
components of a byproduct will have no subsequent commercial purpose after they are
manufactured, for CDR purposes the submitter may treat the byproduct as a mixture of the
remaining components.

By contrast, where a submitter has not characterized certain components of a product

combination, and lacks the basis to conclude that those components are necessarily exempt from

CDR, it is not appropriate to treat that product combination as a mixture.

For example, if a submitter cannot reasonably assess whether or not an uncharacterized fraction

of its byproduct will be subsequently used for a commercial purpose, it is likely that the

submitter will need to treat that byproduct as a single UVCB chemical substance for CDR

purposes.

What is an impurity?

Note that the term impurity has a specific definition when determining reporting obligations
under TSCA. Impurity means a chemical substance that is unintentionally present with another
chemical substance. (40 CFR 704.3) When considering how to characterize a byproduct, it is not
proper to consider as an impurity a component substance that was created as part of the process
that created the intended product and byproduct stream. It may be proper, however, to consider
as an impurity a substance that was introduced as an impurity as part of one of the raw materials
used as an input to the process. If such an impurity reacts during the process, however, the result
is a manufactured substance that does not meet the impurity definition when in the byproduct.

How does the company report under the reporting element "Is Chemical Substance Being
Recycled, Remanufactured, Reprocessed, or Reused?" (a.k.a., Is chemical being recycled?)

Reporting under CDR is organized around the manufacture of specific chemical substances at a
site. Thus, it is necessary to answer this question based on the pertinent substance (i.e., the
manufactured chemical substance that is being reported on). The relevant issue for answering
this specific data element is whether the manufactured chemical substance was then recycled; the
issue is not whether the manufacture of the chemical substance entailed recycling some other
chemical substance.

For purposes of filling out the data element "Is chemical being recycled?" on CDR Form U, a
manufactured chemical substance is being recycled when the chemical substance is being

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removed from the waste stream and is instead being recycled, remanufactured, reprocessed, or
reused. EPA generally expects that this data element would apply to many byproduct substances
and that product finishing, which does not involve removing a chemical substance from a waste
stream, would not qualify as recycling for purposes of this data element.

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Appendix B: Original Case Studies Submitted to EPA

Chemical Data Reporting (CDR): Case Studies for Byproduct/Recycling Reporting

Scenario 1

U.S. Environmental Protection Agency (EPA) guidance states that the byproduct manufacturer
(ABC) should report the spent etchant and the recycler (XYZ) should report the elemental copper
(assuming other requirements, such as production volume, are met).

¦ What does ABC Company report as the chemical identifying number?

¦ How does ABC Company report under the reporting element "Is Chemical
Substance Being Recycled, Remanufactured, Reprocessed, or Reused? "

¦ If there is more than 100,000 pounds (lbs) of etchant sent to XYZ Recycler,
what does ABC Company report under processing and use information
under Part III?

¦ What does XYZ Recycler report as the chemical identifying number?

¦ How does XYZ Recycler report under the reporting element "Is Chemical
Substance Being Recycled, Remanufactured, Reprocessed, or Reused? "

Scenario 2

In its process to produce Chemical Substance A, GEF Company produces 100,000 lbs/year of a
byproduct, Mixture B, which is a mixture of chemical substances, one of which is formed via a
chemical reaction — Chemical A, while others were present in the original starting materials,
Chemicals X, Y, and Z. Based on its technical expertise, GEF Company is aware of the
individual components that make up the byproduct, and each component is listed on the Toxic
Substances Control Act (TSCA) Inventory. Due to processing variability, however, GEF
Company does not know the specific percentage of each component in the byproduct. GEF
Company has not notified the mixture to EPA as a "new chemical" because it is not used for
commercial purposes and there is no regulatory obligation to notify mixtures if the individual
components of the mixture are listed on the Inventory.

The byproduct mixture is sent off-site to Company 123 for further processing. Company 123
extracts Chemical X via a chemical reaction. Chemical X was one of the starting materials used
to produce Chemical Substance A. After Chemical X is extracted, the mixture is disposed of by
MNO Company.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

¦ Is GEF Company obligated to report under the CDR? If yes,

> Which substances does GEF report? Chemical A?

Chemical X? Chemical Y? Chemical Z? Mixture B?

> What does GEF Company report as the chemical
identifying number?

> What does GEF Company report as the volumes
manufactured?

> How does GEF Company report under the reporting
element "Is Chemical Substance Being Recycled,
Remanufactured, Reprocessed, or Reused? "

¦ What are the reporting obligations for 123 Company?

Scenario 3

Site A purchases and uses sulfuric acid in its operations, which generates a spent sulfuric acid
byproduct mixture, Mixture SA. Mixture SA is a mixture of water, sulfuric acid, and unspecified
impurities. Mixture SA has the same CAS Number as sulfuric acid. No new sulfuric acid is
contained in Mixture SA.

Mixture SA is shipped to Site B. At Site B, Mixture SA is reacted to convert the sulfuric acid to
sulfur dioxide. The sulfur dioxide is reacted to created sulfur trioxide. The sulfur trioxide is
then reacted to form sulfuric acid.

¦ What are the reporting obligations for Site A for Mixture SA ?

¦ What are the reporting obligations for Site B for Mixture SA, sulfuric acid,
sulfur dioxide, and sulfur trioxide?

Scenario 4

MNO Company, a metal processing facility, has an agreement with Company 678 to remove its
wastewater/spent baths for treatment. It is technically feasible to recover Metal G from the
soluble metal compounds in the wastewater. If market value of Metal G is high, Company 678
will engage in the recovery process. If the market value of Metal G is low, Company 678 will
dispose of the wastewater without recovering Metal G.

¦ Is MNO Company obligated to report the wastewater? If so,

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

>	What does MNO Company report as the chemical
identifying number?

>	How does MNO Company determine the volumes that are
reportable?

>	How does MNO Company report under the reporting
element "Is Chemical Substance Being Recycled,
Remanufactured, Reprocessed, or Reused? "

Scenario 5

Company X reacts purchased Chemical A and purchased Chemical B to form Product AB and a
byproduct mixture. The byproduct mixture consists of unreacted Chemical A and by-product
Chemical C, which is a chemical that is coincidentally formed via a chemical reaction during the
manufacture of Product AB. There is no CAS Number for the byproduct mixture, but there are
CAS Numbers for Chemicals A, Chemical B, Chemical C, and Product AB, all of which are
listed on the TSCA Inventory.

Company X ships the byproduct mixture to Company Y. Company Y distills the byproduct
mixture to separate the mixture into Chemical A and Chemical C. No chemical bonds are
formed or broken in the distillation process. Company Y uses Chemical A and Chemical C for
commercial processing operations.

Company X is aware that Company Y separates Chemical A and Chemical C from the byproduct
mixture by distillation and that the substances are then used commercially.

¦	What are the CDR reporting obligations for Company X for Chemical A,

Chemical B, Chemical C, Product AB, and byproduct mixture?

>	For each substance that Company X is to report, how does
it report under the reporting element "Is Chemical
Substance Being Recycled, Remanufactured, Reprocessed,
or Reused? "

¦	What are the CDR reporting obligations for Company Y for Chemical A,

Chemical B, Chemical C, Product AB, and byproduct mixture?

>	For each substance that Company Y is to report, how does
it report under the reporting element "Is Chemical
Substance Being Recycled, Remanufactured, Reprocessed,
or Reused? "

Scenario 6

Using information in Scenario 5, except Company X is aware that the byproduct mixture
contains a small amount of unintended unspecified impurities. Company Y's treatment of the
byproduct mixture remains the same — distillation to separate into Chemical A and Chemical C,
which are used for commercial processing operations. Company Y's distillation also results in a

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third component, Mixture M, which contains the impurities in the original byproduct mixture.
Company Y disposes of Mixture M.

¦ What are the CDR reporting obligations for Company X for Chemical A,
Chemical B, Chemical C, Product AB, byproduct mixture, and Mixture M?

> For each substance that Company X is to report, how does
it report under the reporting element "Is Chemical
Substance Being Recycled, Remanufactured, Reprocessed,
or Reused? "

¦ What are the CDR reporting obligations for Company Y for Chemical A,
Chemical B, Chemical B, Product AB, byproduct mixture, and Mixture M?

> For each substance that Company Y is to report, how does
it report under the reporting element "Is Chemical
Substance Being Recycled, Remanufactured, Reprocessed,
or Reused? "

Scenario 7

Using information in Scenario 5, except Company X is not aware that Company Y separates the
byproduct mixture into component chemical substances that are used commercially.

¦ What are the CDR reporting obligations for Company X for Chemical A,
Chemical B, Chemical C, Product AB, and byproduct mixture?

> For each substance that Company X is to report, how it
report under the reporting element "Is Chemical Substance
Being Recycled, Remanufactured, Reprocessed, or
Reused?"

Scenario 8

¦ What are the reporting obligations for Company Xfor Polymer Q, Solvent
G, and Mixture TT?

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

Scenario 9

Company X reacts purchased Chemical A and purchased Chemical B to form Intermediate AB.
A byproduct mixture, Mixture K, consisting of potassium iodide (KI) and water is formed. The
components of the byproduct mixture are on the TSCA Inventory, the mixture itself is not.

Mixture K is sold to Company Y. Company Y oxidizes the KI to form iodine. The iodine is
used for commercial purposes. Company X is aware of Company Y's handling of the byproduct
mixture.

¦ What are the CDR reporting obligations for Company X for Intermediate
AB and Mixture K?

¦ Is the byproduct mixture exempt from CDR reporting under 40 C.F.R
§720.30(g)(3)? Ifnot,

> What CAS Number is used for the byproduct mixture if one
does not already exist?

> How would Company X determine production volume for
the byproduct mixture? Is it the entire volume of the
byproduct, or only the weight of the KI in the mixture?

¦ What are the CDR reporting obligations for Company Yfor Mixture K, KI,
iodine, and water?

Scenario 10

¦ What are the CDR reporting obligations for Company X for Polymer P,
Mixture SS, and Solvent A ?

Scenario 11

Using information in Scenario 10, except Mixture SS is shipped to Company Y and Company Y
distills out the Solvent A. Company Y then ships the Solvent A back to Company X for
commercial use.

¦ What are the CDR reporting obligations for Company X for Mixture SS
and Solvent A?

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

¦ What are the CDR reporting obligations for Company Y for Mixture SS
and Solvent A?

Scenario 12

Company X manufactures refrigerant Gases A, B, and C at the same plant site in three different
operations. As part of the manufacturing process, off-spec gases are generated. An off-spec gas
is the same substance as the intended refrigerant gas, but it fails to meet commercial
specifications (e.g., it is contaminated with the purchased compressor oil in the manufacturing
process and as such, fails to meet required purity levels).

Off-spec gases Al, Bl, and CI from the three manufacturing operations are collected in a
consolidation tank. The resultant mixture, Mixture P, which includes the three off-spec gases
and compressor oil, is sold to Company Y. Company Y distills Mixture P to separate the three
different gases into Recovered Gas A, Recovered Gas B, and Recovered Gas C. No chemical
bonds are broken or formed. The compressor oil is incinerated. The three separated gases
(Recovered Gases A, B, and C) are sold by Company Y for commercial use. Company X knows
how Company Y is handling the off-spec gases byproduct mixture.

¦ What are the CDR reporting obligations for Company X for Gases A, B,
C, Al, Bl, CI, Mixture P, Recovered Gas A, Recovered Gas B, and
Recovered Gas C?

¦ What are the CDR reporting obligations for Company Yfor Gases A, B, C,
Al, Bl, CI, Mixture P, Recovered Gas A, Recovered Gas B, and
Recovered Gas C?

Scenario 13

In 2011, Company A produced 180,000 lbs of substance X that met product specifications and
was sold. Company A also produced 20,000 lbs of Substance X that was off-spec for color due
to traces of a highly colored impurity, although its assay was approximately 99 percent
Substance X. Company A reworked the off-spec Substance X by distillation to remove the
impurity. The distilled Substance X met the color specification and was > 99 percent pure. The
recovered volume was approximately 20,000 lbs. Company X determined that their CDR-
reportable volume of Substance X in 2011 was 200,000 lbs.

¦ How does Company A report under the reporting element "Is Chemical
Substance Being Recycled, Remanufactured, Reprocessed, or Reused? "

¦ Would the response to the question above be different if Company A never
considered disposing of the off-spec Substance X as waste, but instead of
purification, chose to sell it at a lower price into an application for which
color did not matter?

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

¦ Is the purification activity reportable under Part III — Processing and Use
Information? If so, what is the appropriate code for the Type of Industrial
Processing and Use?

Scenario 14

¦ Is Company A obligated to report under the CDR? If yes,

> What does Company A report as the chemical identifying number?

> What does Company A report as the volumes manufactured?

> How does Company A report under the reporting element "Is
Chemical Substance Being Recycled, Remanufactured,
Reprocessed, or Reused? "

¦ What are the reporting obligations for Company Z?

Scenario 15

Company X purchases and uses a palladium catalyst. The palladium catalyst is commercially
supplied on a carbon support, which allows the catalyst to be in a finely divided state with a large
surface area to increase its catalytic activity. Such a catalyst is described by the supplier as a
mixture of palladium (CAS Number 7440-05-3) and carbon (CAS Number 7440-44-0),
consistent with common industry practice. During use of the catalyst, the palladium becomes
progressively more deactivated by adsorption of impurities onto the palladium surface. When its
catalytic performance is no longer acceptable, the catalyst is sent to Company Y, a precious
metal reclaimer, and Company X is credited for the value of the palladium. The process used by
Company Y for catalyst regeneration is not known to Company X.

¦ What are the reporting obligations for Company X? What chemicals are
reportable? How should volumes for reportable chemicals be determined?

Scenario 16

Company EG, a U.S. based company, sends outdated computers, cell phones, and other office
equipment (e.g., copiers, fax machines) to CR Recycling Group. There is no exchange of
funding between Company EG and CR Recycling. CR Recycling Group may refurbish the
equipment and resell to the general public, or it may take the components of the equipment and
reuse within its own processes. As part of the procedure to re-use components, CR Recycling
will extract metals used in solder within the outdated equipment for reuse. Company EG is not
aware how CR Recycling will process the equipment it provides.

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2012 Chemical Data Reporting: Byproduct and Recycling Scenarios

¦	Is Company EG obligated to report under the CDR? If yes,

>	What does Company EG report as the chemical identifying
number?

>	What does Company EG report as the volumes
manufactured?

¦	What are the reporting obligations for CR Recycling Group?

Scenario 17

Using information in Scenario 16, except Company EG is aware that the contributed office
equipment will not be refurbished and will only be used to extract usable components, including
metals.

¦	Is Company EG obligated to report under the CDR? If yes,

>	What does Company EG report as the chemical identifying
number?

>	What does Company EG report as the volumes
manufactured?

¦	What are the reporting obligations for CR Recycling Group?

Scenario 18

Using information in Scenario 16, except Company EG is not a U.S. based company, but sends
its office equipment to CR Recycling Group, which is a U.S. company.

¦	Is Company EG obligated to report under the CDR? If yes,

>	What does Company EG report as the chemical identifying
number?

>	What does Company EG report as the volumes
manufactured?

¦	What are the reporting obligations for CR Recycling Group?

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